Technical progress and the pattern of specialization in world trade in manufactures, 1965 to 1987
AbstractIt has been hypothesized that technical progress will erode the competitiveness of the manufactured exports of developing countries. The paper tests two assumptions underlying this hypothesis. First, limited technological competence might prevent developing countries from competing effectively in industries with rapid technological change. Secondly, increases in labour productivity might reduce the importance of low labour costs as a determinant of competitiveness. This paper presents a crosscountry, cross-industry econometric analysis of the determinants of specialization in trade in manufactures, covering 3 7 industrialized and developing countries. Neither hypothesized relationship is supported by the data.
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Bibliographic InfoPaper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 534.
Date of creation: 1992
Date of revision:
Find related papers by JEL classification:
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
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